Litecoin struggles with relevance but reaches two milestones

Litecoin is comparatively doing better, but the fact that it was second to Bitcoin in some days makes the community believe it will continue to hold relevance in the days to come. It has achieved two milestones to mark a sign of relief; however, that barely instills a sense of confidence among investors.

First, Litecoin has processed 180 million transactions on the network. Second, the current year has seen more than 51 million transactions happen. The latter is significant for two reasons: two more months are left for 2023 to end, and the previous year’s number was 39 million. It is already above that mark, and with two more months, there is a chance that Litecoin could set a new milestone for the future.

LTC finds it difficult to pitch relevance to investors because there have been no code commitments in the last 5 months on the GitHub repository. This has put the financial and operational health of the network in question.

In addition, its native token is significantly below its all-time peak of $413. This cannot be used as a point of comparison, given that BTC is also down from its all-time high. In recent times, the tokens have lost their ability to attract significant numbers of investments due to the crypto winter and subsequent crashes. A price decline has attracted purchasing activity, but this cannot be sustained because the winter has lasted longer than anyone could have imagined.

Reversal trends are on the table for all major cryptos, including LTC and BTC. Litecoin’s native is being traded at $61, down by 0.89% in the last 24 hours and 6.88% in the last 5 days. Litecoin projections are optimistic that the token will fetch at least $77 by the end of 2023. Assuming the upward trajectory continues a little longer, there is a chance that the token may start exchanging hands at $189.29 before the next year begins.

Having said that, BTC is struggling to revive the resistance mark of $27,000 to further achieve the target of $30k with nearly 60 days to go. It was last seen being valued at $26,734.10, a slip of 0.50% in the last 24 hours and 4.44% in the previous 5 days.

LTC has slipped from $114 to the current mark, for a fall of 45%. That’s not it since the fees generated are under the community’s radar. Litecoin peaked at $186,000 in May 2021. Per data shared by Token Terminal, it has plummeted by 68% to settle at $6,000.

Two factors that have been highlighted as the root causes are changing user activity and varying transaction volumes. It has not been determined if both factors are playing together or if it is just either of them. The market cap of Litecoin was last at $5.3 billion, with a supply of 73.5 million LTC and a drop to the 15th spot.

Trevor Holman

Trevor Holman follows crypto industry since 2011. He joined CryptoNewsZ as a news writer and he provides technical analysis pieces and current market data. He is also an avid trader. In his free time, he loves to explore unexplored places.

Related Articles

Back to top button
Bitcoin (BTC) $ 66,187.73
Ethereum (ETH) $ 3,531.14
Tether (USDT) $ 0.99953
BNB (BNB) $ 606.97
Solana (SOL) $ 143.67
XRP (XRP) $ 0.479091
Dogecoin (DOGE) $ 0.1365
Cardano (ADA) $ 0.410578